BA's owner launches new trans-Atlantic budget airline

The owner of British Airways, IAG, said its new trans-Atlantic budget airline will expand its fleet to five planes and aims to open new European bases. Critics have said that BA has been relentlessly cutting costs to take on competition from budget airlines. Which also owns Aer Lingus and Vueling, is now pinning its hopes on the new airline to help it compete in an increasingly aggressive trans-Atlantic market. The Oslo-based budget airline Norwegian jumped at the opportunities the new aircraft offered. From July Iceland's budget airline WOW will be offering flights from London Gatwick, Bristol and Edinburgh to Chicago from £139, and Lufthansa's Eurowings subsidiary will be increasing its low cost offerings to Orlando, Florida and Seattle.